CORPORATE OWNERSHIP, GOALS, and GOVERNANCE - Research Paper Example

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CORPORATE OWNERSHIP, GOALS, and GOVERNANCE

Blair looks at the rights of owners and concludes that shareholders do not have sufficient rights to be called the corporate owners. The article details the rights that owners have such as the right to acquire and dispose off assets and a right to get profits generated by the asset and its sale. The article claims that shareholders do not possess all these rights instead it is distributed to various stakeholders. The article argues that since these rights are not possessed by shareholders, it cannot be said that they are the owners of companies. The author also says that calling shareholders the owners of companies cannot guarantee them the rights of owners. However, the author in conclusion advocates for not distributing these rights because they may discourage investment. The distribution of rights between the shareholders and managers is also discussed. The shareholders, given that they contribute capital, have a right to elect the directors. Directors are the ones who make investment decisions on behalf of the shareholders. The shareholders do not possess the ultimate right to control the decision making of managers. ...Show more

Summary

Insert Name Insert Grade Course Insert Insert Date Corporate Ownership, Goals, and Governance Introduction This paper is a summary of four journal articles dealing with the topic corporate ownership, goals and governance. The first journal is by Connelly Brian et al titled “Ownership as a form as Corporate governance”…
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